Bristol-Myers Squibb shells out $175 million for neurodegenerative therapy

Pharma giant Bristol-Myers Squibb said Tuesday that it is paying $175 million to acquire iPierian, the South San Francisco company, and its potential therapy for a rare brain disorder.

iPierian had been working on IPN007, which was intended to treat progressive supranuclear palsy and could enter phase-1 clinical trials by early next year. It could also someday be applied to other difficult-to-treat neurodegenerative diseases such as frontotemporal dementia and Alzheimer’s disease, the companies said.

That antibody is now in the arsenal of Bristol-Myers Squibb, which is paying $175 million in cash for the company. It could also pay $550 million over time, depending on additional development and regulatory milestones, the companies said.

Bristol-Myers Squibb is trying to go after genetically defined diseases — diseases caused by a known change in the genome, which can be treated by a therapy that targets that precise molecular defect.

“As part of our evolution to a diversified specialty BioPharma company, we have identified genetically defined diseases as an area where the company has an opportunity to significantly advance the standard of care for patients with limited treatment options,” said Francis Cuss, executive vice president and chief scientific officer, Bristol-Myers Squibb, in a statement. “The acquisition of iPierian supports our growing efforts in this area and builds on Bristol-Myers Squibb’s internal expertise and alliances focused on the Tau pathway and neurodegenerative diseases.”

iPierian has changed its course several times over the years. In September, the company split into halves: iPierian, the one focused on neurodegenerative diseases; and True North Therapeutics, focusing on hematological, renal and neurological therapeutics.